Pentair's Stock Falls After Profit, Sales Outlook Cut

Shares of Pentair PLC dropped 4% in after-hours trade Tuesday, after the water filtration company cut its first-quarter profit and sales outlook, citing the negative impacts of a stronger dollar, slower-than-expected oil and gas shipments and a slowing of global capital spending. The company now expects earnings per share from continuing operations of 65 cents, below its previous EPS estimate of 75 cents to 77 cents. Revenue is expected to be $1.48 billion, or about $120 million below its previous forecast. "In response to this slower start and the sluggish economic climate we continue to experience, we will be taking necessary cost actions in the second quarter to best position the company for 2015 and beyond," said Chief Executive Randall Hogan. "We are taking these actions as we expect continued economic uncertainty and currency volatility for the foreseeable future." The stock has lost 3% year to date through Tuesday's close, while the S&P 500 has gained 0.9%.